GUWAHATI: In response to the recent directive from the Union Ministry of Commerce and Industry, mandating the sale of tea dust grades through public auctions, the Chief Secretary of Assam has penned a letter urging the Centre to reconsider the implementation of the order.
In the letter addressed to the Ministry of Commerce and Industry, Chief Secretary Dr Ravi Kota highlighted the concerns regarding the livelihood of small tea growers and associated stakeholders in Assam.
The letter stressed that the tea industry in Assam comprises a significant number of small tea growers and bought-leaf tea manufacturers, and the enforcement of the notification is likely to create substantial challenges for them.
“The implementation of this notification will inevitably impact the livelihood of tea growers and other stakeholders. We, therefore, request your kind attention to consider deferring the enforcement of this notification for a reasonable period,” stated Dr Kota in the letter.
The Chief Secretary also urged the Centre to issue appropriate orders on priority, keeping in mind the best interests of the tea industry in Assam and the welfare of small tea growers and associated stakeholders.
The letter comes in response to the Centre’s order to amend the Tea (Marketing) Control Order, 2003, mandating the sale of not less than 50% of total tea manufactured and 100% of dust grades tea manufactured in certain states, including Arunachal Pradesh, Assam, Meghalaya, Mizoram and Tripura, through public tea auctions.
Earlier, on March 15, the North East Tea Association (NETA) too had voiced its opposition to the directive, expressing concerns over government intervention in the tea trade.
During the 21st Biennial General Meeting (BGM) of NETA held in Guwahati, Kamal Jalan, the chairman of the association, objected to the Ministry’s decision, stating that there is no justification for compelling the sale of tea through public auctions in a liberalised and globalised economy.
“Currently, existing land laws prohibit the mortgaging of 5% of estate land to financial institutions or lenders/investors. Therefore, we urge the Assam government to amend the legislation promptly by reclassifying the land as commercial and allowing its mortgage/lease. Otherwise, attracting investments will be challenging,” stated Jalan.
